VANCOUVER, BC, Dec. 17, 2020 /CNW/ - Kootenay Silver Inc.
(TSXV: KTN) (the "Company" or "Kootenay") is pleased to
announce the Company has entered into a joint venture agreement
with Aztec Minerals Corp. (TSXV: AZT) ("Aztec") in respect of
the Cervantes porphyry gold-copper
project in Sonora, Mexico
("Cervantes"). As noted in the Aztec press release dated
July 30, 2019, Aztec has completed
its earn-in and exercised the option to acquire a 65% interest in
Cervantes. Kootenay retains the remaining 35% interest.
The parties will hold their interests in Cervantes indirectly through share ownership
in a joint venture company, Aztec Minerals (Mexico) JV. Corp. The joint venture
company indirectly owns 100% of Cervantes through its wholly owned subsidiary,
Minera Azteca Dorado S.A. de CV.
Simon Dyakowski, CEO of
Aztec, stated "We are pleased to have finalized the
Cervantes joint venture agreement
with Kootenay and look forward to recommencing exploration
activities at the project in 2021. Aztec's first drill
program at Cervantes resulted in
the discovery of a large, well mineralized gold oxide zone at the
California zone, one of several
prospective porphyry gold-copper targets on the property.
Aztec and Kootenay will now form a joint venture Management
Committee with Aztec as the Operator of the joint venture.
The Committee will meet in the new year to review and approve the
next phase of exploration to unfold the full potential of this
exciting exploration asset."
James McDonald President
and CEO of Kootenay added " We are excited
about formulating the first exploration plan under the JV agreement
and look forward to further testing of the California oxide gold zone and larger gold
copper porphyry potential associated with it. The initial
acquisition and identification of Cervantes is the result of the project
generative work by Kootenay's technical team. It is an example of
the quality of early stage projects within the Company's pipeline
of projects that includes several properties in Mexico and Canada currently available for
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
About Kootenay Silver Inc.
Kootenay Silver Inc. is an exploration company actively
engaged in the discovery and development of mineral projects in the
Sierra Madre Region of Mexico and
in British Columbia, Canada.
Supported by one of the largest junior portfolios of silver assets
in Mexico, Kootenay continues to
provide its shareholders with significant leverage to silver
prices. The Company remains focused on the expansion of its current
silver resources, new discoveries and the near-term economic
development of its priority silver projects located in the states
of Sonora, Sinaloa and Chihuahua, Mexico, respectively.
CAUTIONARY NOTE REGARDING
The information in this news release has been prepared as at
December 16, 2020. Certain statements
in this news release, referred to herein as "forward-looking
statements", constitute "forward-looking statements" under the
provisions of Canadian provincial securities laws. These statements
can be identified by the use of words such as "expected", "may",
"will" or similar terms.
Forward-looking statements are necessarily based upon a
number of factors and assumptions that, while considered reasonable
by Kootenay as of the date of such statements, are inherently
subject to significant business, economic and competitive
uncertainties and contingencies. Many factors, known and
unknown, could cause actual results to be materially different from
those expressed or implied by such forward-looking
statements. Readers are cautioned not to place undue reliance
on these forward-looking statements, which speak only as of the
date made. Except as otherwise required by law, Kootenay
expressly disclaims any obligation or undertaking to release
publicly any updates or revisions to any such statements to reflect
any change in Kootenay's expectations or any change in events,
conditions or circumstances on which any such statement is
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SOURCE Kootenay Silver Inc.